Asian and European markets surged on Thursday after President Donald Trump announced a 90-day suspension of planned tariffs on nearly all of America’s trading partners—excluding China. The move sparked a global relief rally following a week of sharp declines fueled by fears of deepening trade wars and a looming recession.
In Asia, major indices rebounded strongly. Japan’s Nikkei 225 closed up 9.1%, while the broader TOPIX gained 8%. South Korea’s Kospi rose 6.6%, Taiwan’s Taiex jumped 9.3%, and Australia’s ASX 200 climbed 4.5%, all marking significant turnarounds from earlier selloffs.
Even Chinese markets advanced, despite Trump’s decision to hike tariffs on Chinese goods to a cumulative 125%. Trump cited Beijing’s “lack of respect” for global trade norms following China’s retaliatory move to impose 84% tariffs on U.S. imports a day earlier. The Hang Seng in Hong Kong rose 2%, the Shanghai Composite added 1.1%, and the Shenzhen Component Index gained 2.2%.
European markets mirrored the rally, with the pan-European STOXX 600 index surging more than 7%. Individual country indices posted similarly strong gains: the UK’s FTSE 100 climbed 6%, France’s CAC 40 jumped 6.4%, Germany’s DAX soared 8%, Italy’s FTSE MIB rose 7.5%, and Spain’s IBEX gained 7.2%.
In the U.S., markets closed sharply higher on Wednesday after Trump’s tariff announcement, with the Dow Jones Industrial Average posting a 2,962-point gain—up 7.8%—marking its best day since 2020. The S&P 500 rose 9.5%, while the tech-heavy Nasdaq surged 12.1%.
However, U.S. stock futures pulled back slightly ahead of Thursday’s trading session. As of early morning, Dow futures were down 0.18%, S&P 500 futures slipped 0.45%, and Nasdaq futures dipped 0.85%, suggesting some investor caution following the dramatic rebound.
While Trump’s tariff pause has injected optimism into global markets, analysts note that lingering uncertainty over U.S.–China trade tensions could continue to drive volatility in the weeks ahead.
